#United States #Fintech #FP Omni #TSYS #Gwinnett County

FP Omni Technologies Takes Action Against TSYS

On January 8, 2025, FP Omni Technologies, a prominent fintech payments company, officially filed a detailed response to the counterclaims put forth by TSYS Acquiring Solutions in an ongoing litigation. The case has been a hot topic in the fintech industry due to its implications on business operations, particularly concerning payment processing for high-risk clients. FP Omni emphasizes that TSYS has misrepresented facts and failed its contractual obligations, severely disrupting FP Omni's operations.

Background of the Dispute

This legal dispute commenced under the Civil Action File No. 22-A-1537-8 in the Superior Court of Gwinnett County. At the heart of the lawsuit is TSYS's role in processing transactions for FP Omni's merchant clients, many of whom operate within the cannabis sector—a fact TSYS allegedly claims ignorance of. However, FP Omni's recent filing sheds light on the evidence, including internal documents and testimonies from TSYS employees that contradict TSYS's assertions.

Key Allegations from FP Omni

1. General Denial of Counterclaims:
FP Omni categorically denies the validity of the counterclaims issued by TSYS, stating that such claims lack merit and are farcical, especially considering TSYS's role in driving FP Omni towards business collapse.

2. Awareness of Merchant Portfolio:
Contrary to TSYS's claims, FP Omni argues that the payment processor was well aware of its client base, primarily comprised of cannabis dispensaries, during the contract signing process. TSYS has processed transactions for these clients without objection over the years, contradicting the narrative they are now trying to present.

3. Selective Enforcement:
The response asserts that TSYS's actions showcased discrimination and inconsistency in policy enforcement. While terminating FP Omni's transactions, TSYS has continued to process similar transactions for other clients engaged in the cannabis market, thereby violating its stated policies.

4. Destruction of Business:
FP Omni attributes its operational downturn directly to TSYS's actions, including reliance on a third-party payment processor like Visa to hinder transactions, leading to substantial financial losses.

5. Depositions and Evidence:
The filing includes previously sealed deposition transcripts that unambiguously support FP Omni’s claims. Key testimonies from TSYS employees directly contradict the company's assertions of unawareness regarding FP Omni's merchant activities.

FP Omni's Commitment to Accountability

In a statement, FP Omni’s CEO expressed their commitment to seek justice, declaring that the misinformation and deception from TSYS will not go unchallenged. The company has stated that it intends to pursue damages exceeding $500 million, which reflects not only the lost revenue but also the reputational harm incurred as a result of this conflict.

FP Omni's Future Outlook

Moving forward, FP Omni remains resolute in its quest for accountability and aims to unveil what it describes as TSYS's strategic undertakings to undermine its business operations. This lawsuit will be closely monitored by industry participants, as its outcomes could have broader implications for payment processing protocols and contractual relationships in high-risk industries such as cannabis.

About FP Omni Technologies

Founded as a leading entity within the fintech space, FP Omni Technologies specializes in delivering tailored payment processing solutions catered to high-risk sectors. Their commitment to compliance and innovation has positioned them as a competitive player in the market.

Conclusion

The brewing conflict between FP Omni Technologies and TSYS Acquiring Solutions underscores significant challenges within the fintech sector, especially as it relates to processing payments for cannabis-related businesses. The ongoing litigation not only spotlights the legal complexities but also raises questions regarding ethical practices in the financial services industry.